Coop Pank AS results for January 2024

Coop Pank’s financial results in January 2024:

• In January, number of the bank's clients increased by 2,400 and number of active clients decreased by 900. By the end of the month number of clients reached 184,900 and number of active clients reached 81,100. Over the year, customer base has grown by 23%.
• Volume of the bank's customer deposits increased by 21 million euros, reaching 1.74 billion euros by the end of month. Deposits of corporate customers increased by 12 million and deposits of private customers increased by 9 million euros. The volume of deposits attracted from international platforms remained stable. Over the year, volume of bank deposits increased by 15%.
• The bank's loan portfolio increased by 22 million euros over the month and reached 1.51 billion euros by the end of January. Corporate loans increased by 17 million euros, home loans by 3 million euros, leasing by 3 million euros and consumer financing decreased 1 million euros. Over the year, loan portfolio increased by 15%.
• In January, the loan impairment cost was 0.6 million euros.
• Compared to the first month of last year, the bank's net income has increased by 13% and expenses by 32% during the same period this year.
• The bank earned net profit of 3 million euros in January, that is 2% more than in the same period last year.
• In January, Coop Pank's return on equity was 18.7% and the cost-income ratio was 45%.
    

Comment by Paavo Truu, Member of the Management Board and CFO of Coop Pank:

"Coop Pank's financial results of January confirm the bank's strong start to the year: good growth was shown by both the deposit and loan portfolio, in which both private and business customers contributed.

At the beginning of the year, we have seen a continuation of the downward trend of interest rates in money markets, this is a win for borrowers and a loss for depositors. As the era of high interest rates, which is led by the European Central Bank and cooling the economy, is ending for now, the savers are currently using the last opportunities to open term deposits with good interest, because in the near future such good offers are no longer expected.

In addition to corporate loans, the portfolio of home loans showed decent growth in January, which was influenced, among other things, by the offer of home loans intended to support teachers. Starting in January, Coop Pank offers home loans to the teachers of secondary schools and kindergartens on favourable terms with a lower interest margin, and in addition, the bank pays a loan contract fee for teachers along with their home insurance premiums for the first year.”

More detailed quarterly reports of Coop Pank are available at: https://www.cooppank.ee/en/financial-reports

Coop Pank, based on Estonian capital, is one of the five universal banks operating in Estonia. The number of clients using Coop Pank for their daily banking reached 184,900. Coop Pank aims to put the synergy generated by the interaction of retail business and banking to good use and to bring everyday banking services closer to people’s homes. The strategic shareholder of the bank is the domestic retail chain Coop Eesti, comprising of 320 stores.

Additional information:
Paavo Truu
CFO
Phone: +372 5160 231

E-mail: paavo.truu@cooppank.ee

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• Coop Pank 2023-01_EN